In early 2024, the healthcare giant Change Healthcare suffered a massive cyber attack that not only disrupted U.S. healthcare operations but also served as a stark reminder of the vulnerabilities existing in the landscapes of modern businesses. This incident, one of the most disruptive cyber attacks in recent history, offers crucial lessons for every business owner about the importance of cybersecurity.

What Caused the Attack?

The cyber attack on Change Healthcare was initiated through a critical security lapse—compromised credentials used on an application that did not have multi-factor authentication (MFA) enabled. According to the Wall Street Journal, the attackers, identified as part of the ALPHV ransomware gang, gained access to the company’s network on February 12 using these credentials.

The lack of MFA allowed the hackers to roam undetected within the network for over a week, setting the stage for the ransomware deployment that followed.

What Were the Consequences of the Attack?

The consequences of this security breach were profound. Wired reports that the attack led to the shutdown of over 100 systems within Change Healthcare, causing widespread outages that affected hospitals and pharmacies reliant on the company’s services for billing and medical claims. This disruption forced many healthcare providers to rely on emergency loans and personal funds to continue operations.

Financially, the attack cost UnitedHealth Group, the parent company, an estimated $870 million in damages. More troubling was the theft of sensitive data, potentially impacting a significant number of American patients and placing personal information at risk.

What Can We Learn from This Attack?

1. Implement Multi-Factor Authentication

One of the simplest yet most effective ways to enhance security is through MFA, which could have prevented the attackers from using stolen credentials to access Change Healthcare’s systems. With every MFA tool being very user-friendly and extremely effective, enabling it for all of your employee's different accounts is a simple process you begin today.

2. Regular Security Assessments 

Conducting regular security audits and vulnerability assessments can help identify and mitigate potential entry points for hackers before they can cause harm. Essentially, you are making sure there are no "open windows" or "unlocked doors" within your business's network.

3. Educate Your Employees 

As human error is a significant factor in many breaches, regular training on cybersecurity best practices and potential threats can dramatically reduce risk. Things like phishing scams, password management skills, and social engineering tactics are all things you and your team should be aware of.

4. Develop a Strong Incident Response Plan

Being prepared with a comprehensive incident response strategy is crucial. This plan should detail how to respond to different types of cyber threats and include clear communication guidelines. Don't know where to get started on this? Have a local IT expert help.

5. Back Up Data Regularly

Ensuring that all critical data is backed up and these backups are tested regularly can prevent significant loss in the event of an attack. It is extremely important that your business has a strategy that includes both offline and offsite backups, ensuring that you have a clean copy of your data to restore in case of an attack.

6. Stay Informed About Cyber Threats

Keeping up to date with the latest in cybersecurity trends and threats allows businesses to adapt their defenses in a timely and effective manner. For more simple cybersecurity tips you can use for your business this year, check out our "4 Ways to Improve Your Cybersecurity Today" guide.

Take Action Now

The Change Healthcare incident is a powerful reminder that no organization, big or small, is immune to the dangers of cyber attacks. This event should serve as a wake-up call for business leaders to scrutinize and strengthen their cybersecurity frameworks. We encourage every business owner to consult with an IT expert to discuss how you can better prepare your company against future cyber threats.

Don’t wait for a breach to happen; proactive steps taken today can safeguard your business’s future. Let’s learn from Change Healthcare’s experience and ensure our own systems are fortified against the unknown threats of tomorrow.